Inditex plans to open its Massimo Dutti stores in India, one year after signing a joint venture to run stores under the brand in an agreement with Indian retail operations group Trent.
According to India’s Business Standard, the joint venture will invest Rs 10 crore ($1.6 million) in two years to open five Massimo Dutti locations.
An executive involved in the joint venture said Inditex hopes to open stores in top locations and malls, but noted that “finding marquee properties is taking time,” Business Standard reported.
In June 2012, India’s Foreign Investment Promotion Board (FIPB) rejected the apparel group’s application to open Massimo Dutti stores in the country, claiming that an investor should own the brand it proposes to bring to India under local law. However, the FIPB accepted Zara’s application in 2012, and India’s government subsequently eased its laws on brand ownership.
Massimo Dutti and Zara are both Inditex-owned brands. Zara opened its first location in India in 2010 and currently has stores in Mumbai, Pune, Bangalore and Delhi.